Seanad debates

Wednesday, 8 June 2011

3:00 pm

Photo of Brian Ó DomhnaillBrian Ó Domhnaill (Fianna Fail)

Without going over the ground covered in Senator Diarmuid Wilson's concise presentation, I want to add to what he has said about the position being adopted by the Government. The Government parties seem to be acting in isolation, with the Labour Party expressing one view and Fine Gael expressing another. There is no coherence on the issues of water charges and the domestic utility charge.

This issue has caused huge discontent in the last ten days. People have contacted me about this because they are already in a precarious position when it comes to trying to balance the household budget, to pay the bills and the mortgage. The new Government, after less than three months in office, is coming up with a new charge, the utility charge, to be levied on people because they have a home. That home might be in negative equity, but that is not being taken into consideration. People who have invested in a home will face a charge for it.

Senator Wilson outlined how that was not the position taken by the Government ahead of the last general election. The Tánaiste, Deputy Eamon Gilmore, stated three weeks before the election that a flat rate charge would not be contemplated or introduced by the Labour Party. Fine Gael stated it would not introduce any charge other than one for water after the installation of water meters. The two parties went before the people on those positions but after receiving their votes, they changed their minds and we are now looking at the introduction of a utility charge in 2012.

The Government can blame the European Union and the IMF but their position seeks the introduction of water charges on a consumption basis. Fianna Fáil stood on that platform during the election and we were frank with people, saying we would introduce water charges but only after the installation of water meters and that people would only pay for the water they use. If a utility charge or rate on houses is introduced, the same charge is levied on an 85 year old woman living in poor and isolated conditions as on someone living in a €5 million mansion in Dublin 4. That is not equality. Is that what the Labour Party proclaims to be equality in the new Government? My party was sitting on the other side of the House three months ago and Fine Gael and the Labour Party were sitting on this side. Those parties made sure they proclaimed their view of equality and this is not what they proclaimed equality represented. Has the new Government lost its view of equality because it has captured power or is it that power is more comfortable than explaining equality? Fianna Fáil Members of this House have moved this motion tonight because we want to see clarity brought to this issue. We want to see the Government reflect on this matter. While there are difficulties with the public finances, equality in the restoration of public finances does not come about by charging the same amount to someone earning €180 per week as others. The charge is proclaimed in the newspapers as €170 per house. Does that mean that a person living on €150 or €170 a week in a small bungalow, struggling to get grants to fix their windows, must pay that amount while someone living in Dublin 4 in a €5 million mansion is asked to pay only the same amount? That is not fair. This should not be exploited to repair the public finances and meet the demands set under the EU-IMF bailout.

I am delighted my party has brought forward this motion. I hope the Minister can clarify the position of the Labour Party, Fine Gael and the Government. Will the roll-out of these charges commence in January? Fianna Fáil will not support that position. If charges are to be introduced for the provision of water, a number of measures are needed in the interim. Meters must be rolled out at a cost of €500 million. Fianna Fáil welcomes the roll-out of meters and the employment it will create. That is the party position. We also want to see the water network in each council area improved because there are so many leaks in the water system. Antiquated pipes in rural Ireland need to be replaced. There must be investment before the charges can commenced.

We are in a difficult financial situation but burdening people who cannot afford to pay is not the correct way to go about this. If the Government's proposed utility charges, stealth charges, domestic rates or whatever are to be introduced in January 2012, which Fianna Fáil vehemently opposes, perhaps the Minister will clarify the level of charge proposed or contemplated. Is it €100, €500 or something in between? We must be up-front with the people. People must be the afforded the opportunity to plan for the burden the Government will throw their way in January. People do not have the money unless they plan financially. I support the motion tabled by Senator Wilson. Fianna Fáil will vehemently oppose any move towards a utility charge or domestic charge before the necessity to introduce such a charge under the EU-IMF facility. That will only happen if meters are introduced before that. That will probably occur in 2014 or 2015.

Comments

No comments

Log in or join to post a public comment.